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NPD Makes 2010 Predictions

Digital PC games sales to overtake those generated at retail, while the traditional segment of the industry could come under pressure to lower game prices.

Research firm the NPD Group has offered a number of games industry predictions for the coming year.

“Q1 is shaping up to be the biggest quarter in video game history as several marquee titles slipped from this year into next, joining the already strong line-up of new releases,” said games analyst Anita Frazier, who also believes that “motion-sensing controllers will be a focal point as Microsoft’s Natal will likely make its way to market during the year.” Microsoft has since confirmed that Natal will release in 2010, while Sony’s new motion sensing controller is set to launch this spring.

“In PC games, sales generated via digital distribution will overtake those generated at retail, and there will be some big PC game releases, most notably from Activision Blizzard,” Frazier added.

“But perhaps the biggest issue facing the industry in 2010 is the proliferation of mobile and social gaming, much of which is free to the consumer. While they can't replace or replicate the gaming experience that a full frontline game offers, they can and do satisfy the gaming craving for many occasional gamers. Their existence is putting pressure on the casual games side of the industry, and the impact may spread to the more traditional segment of the industry through downward price pressure on content.”

Source: NPD Insights